Great China Metal Ind. Co., Ltd.

TWSE:9905 Stock Report

Market Cap: NT$7.0b

Great China Metal Ind Valuation

Is 9905 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 9905 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 9905 (NT$23) is trading above our estimate of fair value (NT$1.94)

Significantly Below Fair Value: 9905 is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 9905?

Key metric: As 9905 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 9905. This is calculated by dividing 9905's market cap by their current earnings.
What is 9905's PE Ratio?
PE Ratio8.7x
EarningsNT$807.83m
Market CapNT$7.00b

Price to Earnings Ratio vs Peers

How does 9905's PE Ratio compare to its peers?

The above table shows the PE ratio for 9905 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average14.6x
1323 Yonyu Plastics
9.3xn/aNT$2.3b
9907 Ton Yi Industrial
23.3xn/aNT$24.6b
9939 Taiwan Hon Chuan Enterprise
15.1x12.9%NT$42.9b
4306 Yem Chio
10.6xn/aNT$11.7b
9905 Great China Metal Ind
8.7xn/aNT$7.0b

Price-To-Earnings vs Peers: 9905 is good value based on its Price-To-Earnings Ratio (8.7x) compared to the peer average (14.6x).

Price to Earnings Ratio vs Industry

How does 9905's PE Ratio compare vs other companies in the Asian Packaging Industry?

6 CompaniesPrice / EarningsEstimated GrowthMarket Cap
9905 8.7xIndustry Avg. 17.2xNo. of Companies37PE01224364860+
6 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 9905 is good value based on its Price-To-Earnings Ratio (8.7x) compared to the Asian Packaging industry average (17.2x).

Price to Earnings Ratio vs Fair Ratio

What is 9905's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

9905 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio8.7x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate 9905's Price-To-Earnings Fair Ratio for valuation analysis.

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.

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